Top 4 Auto Repair Shop Loans

Proper location, specialized equipment, general inventory and apt payroll can become quite expensive for people to keep up — especially when you are just starting. Auto shop repair can definitely result in putting your bank balances at risk.

This is when you will start looking for loans as you will require additional working capital.

In such a scenario, a business loan or working capital loan is the first thing to come in your mind as it helps to ease the cash flow along with help in the growth of your auto shop repair process. So today we will find out some of your top options that you can think about along with the ways to company and what it requires to apply.

What Are The Top Business Loan Options Available for The Auto Repair Shops?

The financing type you choose vary a lot from the ways your company is generating revenue along with the ways you will be using the loan funds for. As this is particularly for the auto repair shops and where the revenue is mostly generated from customers by upgrading their equipment or repairing the tools, it is always a better option to opt for loans that is specialized for equipment. It can be an ideal choice.

So let us check the top few options available for you:

Equipment Financing: When you have to buy specialized equipment in order to repair your auto shop, it is always great to choose a loan which offer security to whatever you are about to buy along with offering the best interest rates. By this procedure, you can be able to finance everything from the point-of-sale to a new lift through.

Merchant Cash Advance: This is another one-time loan which you can repay by making use of a percentage from the daily sales. When you are just starting but have regular business, the merchant cash advance can be an effective way to add the working capital.

SBA Loans: We have all heard about the Small Business Administration loans or the SBA loans. There are a set of guidelines that this loan comes with which the banks always follow when it comes to offering guaranteed loans. Federal government guarantee tend to simplify the qualification standards that approves an amount of up to $5 million. The SBA 504 loan program can be a favorable choice for the big real estate purchases like moving to a new location or expanding your business.

Business Line of Credit: This is just like the credit card. The line of credit offers you to use against the approved amount. Once you pay the used amount, you can again use it for your next purchase. Once you get promotional periods, you can again use it for making a big purchase without paying huge interest.

All these loans require proper documentation and have its own set of advantages. So it is always advised to opt for one from these top auto repair shop loans in order to be able to remain at your best condition. Now you can also discuss with the top professionals of Bottom Line Bankers about the Working Capital Loans in order to put the best step forward.

Small Business Loans: 5 Tips to Get Approved Faster

Every business is associated with transaction of money. Smooth cash transaction is possible only when there is enough funding option and adequate sales. For smaller business, funding is not an easy means. The most common types of funding options available are a business loan. However, the process of application for a business loan is lengthy and is not very easy to obtain. For smooth and easy small business loans, one needs to follow some tips.

  1. Keep your loan documents in perfect order

    – Every business involves one or more number of documents that are directly involved with the financial state of a business. If the financial, accounting and tax records are kept up-to-date and accurate, the process of application process for the business will be easier. Transparency of financial transactions is a must in every business that will benefit you at the end. Hiring a bookkeeper for dealing with the accounting part is a good aspect in avoiding ignorance of maintaining a good proper financial book.

  2. Demonstrate a steady cash flow in your business

    – Cash is king and is also a vital predictor of health and prospects of a business. A clear demonstration of the financial statements, bank statements and tax returns can help you to ensure potential financers that you are able to pay creditors or others at the time. That means the documents provided with a historical perspective about the performance and cash flow of the business. A dip in the cash flow due to loss of any customer or due to recession can be followed by an explanation on an advance.

  3. Maintain a good credit and a manageable debt load

    – Debt load is the amount of balance due that is carried on your balance sheet. You need to demonstrate that you are able to handle your current debt load as well as additional debt repayment that will occur for your proposed financing. You can show how the extra liquidity will be used and forecast the additional revenue that will be received through the loan. Keeping track of your documents is a primary step and in addition, you have to make sure of paying your bills on time. Bankruptcies, foreclosures and late payments should be avoided. Maintaining a good credit is an essential part of the loan application process. Financial institution or lender will go through your credit score.

  4. Know the type of loan you need

    – You need to understand what type of loan that works best for you or your business and is very vital. Getting the business loans to be approved depends upon the program one is applying for. Some of the programs need more documentation in comparison to other programs. Some of the requirements can be a standard business loan, a cash advance against credit card income or merchant cash advance program, loan for buying equipment or foundry, a mortgage loan for commercial purpose, etc.

  5. Understanding every financial institute is different

– Money lending institutions are the prime lenders. Small banks are usually built- up on personal relationships and in large banks, bound by high qualifiers, who may exclude small businesses. You can approach a small bank with your appropriate requirements and query. For choosing the best one for your business, you can compare rates, lease terms, total cost and other options.

What Are The Different New York Business Loans Options

New York City is said to be one of the most competitive regions for starting a business in the entire country and perhaps the world. We are all aware that it is one of the most populous states and city in the U.S and which as a result leads most of the business minded people to start a business in this corner of the U.S.. However, to run a business in such a populous and thriving city, you require great funding for maintaining business in your area.

Irrespective of the industry you belong to, starting a small business in this part of the U.S. has end numbers of advantages. Since it has such a huge local economy, any quality or unique small business can soon write their success story. But then again, such a big sized economy can give a headache to the business owners as you will always find your competitors expanding their business.

This is where the struggle comes as you require proper funds to invest in your business or for upgrading. There are various small business funding or traditional banking loans available that can effectively meet your business funding needs in NYC.

Rollover for Business Startups (ROBS):

In the startup financing world, the Rollover As Business Startups is one of the best-kept secrets. The reason is it again helps in investing funds from the retirement account into the new business. This does not require paying early income taxes and withdrawal penalties.

Cost: It requires an amount of $5,000 for setup along with $140 approx every month as monitoring fees.

Is It The Best Choice For Startups: This is a flexible loan plan and is an excellent choice for almost every startup. The acquired fund from ROBS can be a great choice to serve as down payment for any startup business or as an SBA loan.

Small Business Credit Cards

Both business and personal credit cards can become a cost-effective way for startup financing. Some of them come with 0% APR along with great reward programs or cashback. This can be a great way of business saving if you are someone who uses credit cars along with becoming a part of the business financial toolkit.

Cost: The average Annual Interest Rate is 16% while some cards also have the annual fee that cost $50 -$100.

Is It The Best Choice For Startups: Business credit cards can be a great choice for everyone and need to be a part of the business financial toolkit. In case you are ready for applying for business credit card, you can definitely opt for The Bottom Line Bankers.

SBA Loans for Startup Businesses:

SBA or the Small Business Administration is known for the loan guarantee programs. Some of the basic SBA programs which are best for your startup company are Microloan Program and Community Advantage Program. Both of these targets underserved or new businesses. All SBA loan types can become a great choice for the startups, but some of them are difficult to quality when you do not have any existing business.

Cost: It charges 6 – 9% plus the fees as Annual Interest Rates. You might end up paying 0.5 – 3.5% as the origination fees, $2k – $4k as packaging fees and 3 – 3.5% as SBA guarantee fees.

Is It The Best Choice For Startups: These loans are generally relevant for the self-financed startups along with the experienced startup owners who have been in the management and industry for years. The prime advantage of opting for an SBA loan is because of its long repayment term and low-interest rate. This reduces monthly payments in comparison to other loan options.

Bottom Line:

When it is about looking for financing opting for your startup in NYC, these are the top best options for small business loans available for you. Make sure you check with the skilled banker in order to make the best decisions. Since running business in NYC requires being competitive and which again needs proper funding, opting for the best loans is the best choice.